severely suppressed (p. 167). Nevertheless, Frederick and Worden (1993) say that "rapid economic development during the late nineteenth and early twentieth centuries profoundly changed the lives of . . . indigenous peoples" (p. 29). The colonial economy which emerged was one in which the Netherlands exploited the natural resources of its Dutch East Indies colony, which served as a cheap source of labor and as a market for the manufactured goods of the mother country.
Indonesian nationalism accelerated under the period of Japanese rule (1941-1945). During the Indonesian Revolution and War of Liberation (1945-1949), Indonesian nationalism exploded after the Dutch attempted but failed to reassert control over their former colony. According to Inglehart (1997), developmental theorists of the 1950s, 1960s and 1970s argued that "development was more likely to lead to bureaucratic authoritarianism than democracy" (p. 160). They urged less-developed countries (LDCs) such as Indonesia to beware of foreign investment because it
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